Market to see uptrend next week

Mumbai, Oct 7: Riding on positive factors, share prices were expected to witness an uptrend at the BSE and NSE during the week ahead, market analysts said.

Factors that would predict market trend in the coming weeks include quarterly results from Infosys and the board meeting of DLF to consider overseas acqusitions and raising funds offshore on Thursday, 11 October 2007. Quarterly results from HDFC Bank and Reliance Industries annual shareholder meeting scheduled to be held on Friday, 12 October.

The 30-stock Bombay Stock Exchange (BSE) Sensitive Index ended higher by 2.8 per cent at 17,773.36, during the week ended October 5 from the previous week, similarly, the S&P Cnx Nifty index advanced smartly by 3.7 per cent to finish at 5185.85 points as compared to the previous week.

The Benchmark Sensex index had touched the intra-day high of 17953.07 points during the last week, and fell short of few points to surpass the 18000 mark. The Sensex is expected to surge ahead of the 18000 mark during the week ahead, dealers said.

The firm trend on the end of the last week in U S Markets, already had encouraged market players on the local bourses, dealers said, adding that the BSE Sensex which fell short to cross the important milestone of 18000 mark may attempt to surpass during the forthcoming week, dealers said.

US stock markets shot up in opening trades on Friday, 5 October 2007 after government data showed the economy added more jobs than expected in September 2007, easing worries about the outlook for growth and profits. The US Labor Department said the economy added 110,000 jobs.

According to market analysts, the market will be keenly watching developments on the political front as India's political crisis over a controversial nuclear deal with the United States could enter a decisive phase as the government and its communist allies hold talks to resolve their bitter row. A joint panel formed to try and end the face-off will make a fresh attempt to convince communist leaders who have threatened to end their support to Prime Minister Manmohan Singh's coalition if it pursues the historic pact.

Foreign institutional investors (FIIs) bought shares worth a net Rs 575 crore on Thursday, 4 October 2007, compared to their buying of Rs 3,161.50 crore on 3 October 2007. FII inflow of Rs 575 crore on 4 October 2007 was a result of gross purchases of Rs 4,403.80 crore and gross sales Rs 3,828.80 crore.